tax form

[familynut2]

Can anyone answer this question---on the ebay tax form they sent out, does the total sales include the charges for shipping or just the actually winning bids??

[toysaver]

Yes, it includes shipping.

[slippinjimmy]

It includes your GROSS revenue, everything except any Sales Tax charged to your buyers.

It is up to you to claim and deduct any and all expenses related to your selling on eBay.

[monroe67]

". . . does the total sales include the charges for shipping or just the actually winning bids??"

Yes, the "total sales" does include charges that your buyers paid for shipping.  

The "total sales" also includes all fees that eBay retained, including Final Value Fees (FVFs), promoted listing fees, any listing upgrades you might have used (reserve prices on auctions), among others.  

[12345jamesstamps]

Per H & R Block I used monthly wifi and monthly wifi rental equipment as a deduction.

Also 50% of monthly iPhone montly bill...has a camera and eBay APP on it as a deduction.

Can sell without these tools.

That really helped for my deductions...LOL

Don't need any business number or anything.

[mam98031]

Did you happen to look up the Policy page for the 1099K?  We often forget to look at the policies.

https://www.ebay.com/help/selling/fees-credits-invoices/ebay-form-1099k?id=4794

What's included in Form 1099-K

Form 1099-K is an IRS information return that includes the gross amount of all reportable payments within a calendar year. This is based on when gross funds are processed to eBay, not necessarily when funds are received by sellers. This amount does not include any adjustments, for example, credits, discounts, fees, refunds, or any other adjustable amounts. However, sales tax and canceled transactions are excluded from the gross amount reported. You should check with your tax advisor to decide how best to use the information on your Form 1099-K when filing your personal and/or business income tax return.

You can contact us with any questions about your Form 1099-K. Make sure to have the item number and transaction details ready. You should contact us with any concerns about your Form 1099-K no later than March 30th of any year. This will ensure eBay has time to review your claim and make any needed corrections by April 15th of the same year.

[dhbookds]

@monroe67   the 1099 itself has nothing to do with expenses from ebay only the total $$ a seller is paid........  The have "details" that you can print out that shows FVF, shipping, etc........  but none of that is included in the amount shown on the 1099........

[12345jamesstamps]

I did notice the eBay monthly fees are subtracted from gross to net...on the 1099k.

[mam98031]

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@12345jamesstamps wrote:

I did notice the eBay monthly fees are subtracted from gross to net...on the 1099k.

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@12345jamesstamps 

Are you talking about Store Fees?  Store fees are NOT subtracted from the Gross Receipts on the 1099K.  

NOTHING is deducted from the Gross Receipts reported on the 1099K.  The number on the form is for the total amount received into your Managed Payment account BEFORE any ebay fees [store fees, FVFs, fixed fees & store fees], shipping paid for in Ebay or refunds.  

[monroe67]

"@monroe67   the 1099 itself has nothing to do with expenses from ebay only the total $$ a seller is paid........  The have "details" that you can print out that shows FVF, shipping, etc........  but none of that is included in the amount shown on the 1099........"

OK.  I quit.  
I encourage others to refer to posts about Form 1099-K from mam98031, which include the text of eBay's own policy about Form 1099-K.   
The IRS also publishes info about Form 1099-K and  I'm pretty sure there's some explanation about the 1099-K that goes out with that form itself.  So, any taxpayer with a computer and basic google skills can find lots of info about Form 1099-K online.  Besides trusting their own tax return preparer, of course.  

I'm still also pretty sure that the "total sales" figure on an eBay Form 1099-K does include the amount of money that eBay retained as "FVF, shipping, etc." during the taxable year, from that specific seller. 

I don't want to take the chance that any eBay seller might tell an IRS auditor, "Well, there's this person on eBay, monroe67, who said . . . ." this, that, or the other.  

I can't speak for my selling ID, though.  I try to keep her from posting on any of these forums, but sometimes she does sneak through.  

[12345jamesstamps]

I guess I have to explain more in depth for you.

You can look at in eBay of gross vs. net and what is in between in eBay taken out to get to net...to see that eBay monthly fees are subtracted from gross to net.

I was pertaining to what is taken out to get to net which eBay shows a seller online in their store.

Obviously, there is no 'net' of sales on the 1099k form which you get.

I just assumed most would understand that concept selling in eBay that they can see more in depth by reading what is printed in their store than on a piece of paper mailed to a seller.

[caldreamer]

IRS requires that you report "gross income" as shown on 1099.   EBAY has "easy to read" 1-page report that shows YTD totals for (orders, refunds, EBAY fees, shipping expense).  Go to PAYMENTS, REPORT (select LAST YEAR).

GROSS SALES

-Refunds

-EBAY fees

-Shipping expense

-Other expense (cost of goods, mileage, packing materials, office supplies)

NET TAXABLE INCOME

[mam98031]

The post I responded to stated "I did notice the eBay monthly fees are subtracted from gross to net...on the 1099k."  

Maybe the way you worded it, but the highlighted portion simply is not true.

[12345jamesstamps]

Sorry, I thought most people had common sense...my mistake.

[mam98031]

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@12345jamesstamps wrote:

Sorry, I thought most people had common sense...my mistake.

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Being rude is not the answer.